This Small Cap Shipping Stock Gains Over 16% In A Week: Check Details

Shares of Great Eastern Shipping have been on a steady rise. The stock in a week’s time has spurted by 16.77% and at day’s high price of Rs. 424.35 per share, trades close to its 52-week high price of Rs. 445.

Shares of the company engaged in offering shipping services like transportation of crude oil, petroleum products, gas and dry bulk commodities in two days has spurted from a price of Rs. 373.55 as on the closing of April 20 to today’s day’s high price of Rs. 424.35, implying gains of 13.59%.

The sharp gains in the stock price of GE Shipping company may be attributed to the higher rates as a result of the ongoing Ukraine-Russia crisis. Last year itself the freight rates to several Indian ports saw an increase by eight to ten times and also recently increased in the backdrop of the geo-political tensions.

Earlier, HDFC Securities had a ‘Buy’ call on the stock for price target of Rs. 450 to be realised in 3 months time. The rationale given for the buy on the stock has been on account of the intermediate technical setup that looked positive. The brokerage held the view the stock has the potential to move higher in the coming weeks and therefore recommend a buy.